Licenceholders will be pleased to learn that a new piece
of legislation, awaiting Royal Assent at the date of this article,
will facilitate the transfer of their deposit-taking business by
court order, without the need to obtain express customer
consent.

The Financial Services (Miscellaneous Amendments) Bill 2012 (the
Bill) contains, amongst other things, changes to the Financial
Services Act 2008 (the FSA), which include a mechanism for
deposit-taking business transfers. This mechanism is similar to
that already in place for the transfer of long-term insurance
business, found in Schedule 2 to the Insurance Act 2008, and brings
the Isle of Man broadly in line with the position in the UK under
the Financial Services and Markets Act 2000.

Currently, there is no statutory procedure in place for the
transfer of deposit-taking business. Accordingly, a licenceholder
wishing to transfer its business is required to effect such a
transfer by obtaining the consent of customers to the novation of
their accounts (through account terms and conditions or otherwise)
or by seeking a Private Bill in Tynwald. Given the numbers of
customer accounts that are generally involved, obtaining express
consent can be both unduly time consuming and costly for
licenceholders in the event that there is no pre-existing customer
consent under the account terms and conditions. The court approved
deposit-taking business transfer route will also provide greater
legal certainty for licenceholders.

When enacted, the legislation will introduce a new Schedule into
the FSA, which sets out a statutory procedure for the transfer of
deposit-taking business. Approval of transfers can be sought where
a person licensed under the FSA proposes to transfer the whole or
part of its business (where the whole or part of the business to be
transferred comprises, or includes, deposit-taking) carried on in
or from within the Island to another licenceholder. Appleby lobbied
for an extension in the scope of the Bill so that, rather than
being restricted solely to deposit-taking business, a court
approved deposit-taking business transfer scheme can also include
other business conducted by a licenceholder, subject to any
requirements of the FSC. Transfers can be made to transferees
outside the Isle of Man provided that the transferee has the
necessary authorisation in the jurisdiction to which the business
is to be transferred. The transfer will require an application to
the High Court, which can be made by the transferor, the transferee
or both. The detailed requirements of this application will be
provided in the form of regulations made by the FSC.

Safeguards have been built into the transfer mechanism to
protect depositors interests. As mentioned above, the Bill
proposes that the FSC may impose requirements by regulations in
connection with applications to transfer a deposit-taking business
and, on an application, the FSC is entitled to be heard together
with any person, including an affected depositor or an employee of
either the transferor or the transferee, who alleges that he or she
would be adversely affected by the carrying out of the transfer
scheme.

This legislation will undoubtedly assist in achieving the
FSCs regulatory objective of supporting the Islands
economy and its development as an international finance centre and
are designed to meet the modern commercial interests of the
licenceholder. As mentioned, they will also help bring the
Islands legislation into line with other jurisdictions, such
as the UK, under the Financial Services and Markets Act 2000. They
are an improvement on deposit-taking business transfer procedures
in some jurisdictions where the deposit-taking business transfer
procedure is of mandatory application, preventing a licenceholder
from transferring its deposit-taking business in reliance on a
power within its account terms and conditions. Until now, the Isle
of Man has not had an equivalent regime for the transfer of
deposit-taking business and it is anticipated that this legislation
will be very well received by the Islands banking sector.

As originally appeared in the Isle of Man Regulatory Update
– February 2013

The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.

Specific Questions relating to this article should be addressed directly to the author.

The board of Directors (the Board) of Dragon Group International Limited (the Company and, together with its subsidiaries, the Group) deems it appropriate to issue a profit warning regarding the financial results of the Group for the financial year ended 31
December 2012 (FY2012).
Barring unforeseen circumstances and to the best of the Directors knowledge, the Group is expected to report a net loss for FY2012 mainly due to (i) the decrease in gross profit margin and (ii) impairment losses on the proposed disposal of all issued and paid-up ordinary shares in the share capital of Dragon Technology Distribution Pte Ltd (a wholly-owned subsidiary of the Company).
This profit guidance is based on a preliminary review of the draft management accounts of the Group for FY2012. Further details of the Groups financial performance will be disclosed when the Company finalises and announces its unaudited financial results for FY2012 on or before 1 March 2013.
Shareholders and investors are advised to exercise caution when dealing in the shares of the Company. Persons who are in doubt as to the action they should take should consult their stockbroker, bank manager, solicitor, accountant or other professional advisers.
By Order of the Board
Dato Michael Loh Soon Gnee
Executive Chairman Chief Executive Officer
Dragon Group International Limited
7 February 2013

Its almost Lent, and the huge barge that was Super Bowl Mardi Gras is moving on down the river. At last. Lets do Qs and As and follow-up to previous Alley/food stuffs.

Hi Judy, I love your video with the lady who made roux in the microwave, writes an online reader from the San Diego area. I cant wait to try it. I love seafood gumbo but rarely make because of the time required to stir the roux and then the okra.

My question concerns the addition of okra to gumbo. Following my mothers recipe I have always added the sliced okra after the roux was done and the veggies were browned. The recipe calls to stir and stir until the okra ceases to rope, and that combination just takes too long for my patience.

I was born and raised in New Orleans but have lived in the San Diego area for 38 years. The T-P food and sports sections have let me feel a part of New Orleans (Saints amp; LSU!)

Minnesota leads in auto insurance fraud
The Insurance Federation of Minnesota (IFM) recently called on regulators, prosecutors and legislators to redouble their commitment to crack down on no-fault auto insurance fraud in the state.

Oil changes, tire rotation: steps to keep your car running as long as possible, and some think its time the no-fault policy went into the shop, too.

We think weve got one of the best systems in the country, but its in need of some repair to make sure its viable for the next 38 years, Insurance Institute of Michigan Executive Director Peter Kuhnmuench said.

The Insurance Institute has proposed reforms to the no-fault system, including medical fee schedules and caps on medical benefits that would allow people to choose the level of coverage they want.

We think these reforms will benefit everyone across the board, particularly those that find it hard to pay for auto insurance today, Kuhnmuench said.

Those against the changes argue rather than reform, the state should focus on whats already in place.

Its the law. You have to be insured, but a lot of people are breaking the law, Coalition Protecting Auto No-Fault Spokesman John Truscott said. One of the things we can do to help reduce costs is enforce the law thats on the books right now, and not allow the lawbreakers to go cause accidents. That drives up rates probably more than anything else.

Coalition Protecting Auto No-Fault is open to changes, but concerned for those people who depend on the unlimited lifetime benefits.

Were all about trying to reduce insurance rates for drivers in Michigan, what we dont want to do is destroy the safety net thats there for people who have severe, traumatic brain injuries, Truscott said.

Insurance Institute said Governor Snyder has shown support for the proposed reforms, and it might even be a topic at the State of the State address. Now they need to reach the lawmakers.

Our challenge is to convince the legislature that this the right thing to do, and that this is the time to do it, Kuhnmuench said.

The governors office couldnt be reached for comment.

Insurance Institute has been advocating for reform for almost a decade. Theyre also proposing a Michigan Auto Insurance Fraud Authority that would grant funds to law enforcement and prosecutors throughout the state to help pursue auto insurance fraud criminals.

Fraud brings up everyones premiums, no matter whos committing it and where its happening. Experts said crimes in Detroit can affect every Michiganders auto insurance.

Lawmakers are getting ready to consider changes to the state’s no-fault auto insurance law. At the same time, a court battle over access to information about a fund drivers pay into continues.

When a person files a personal injury claim in Michigan, and the claim is more than a half-million dollars, the auto insurance company is reimbursed by a state-created fund administered by the Michigan Catastrophic Claims Association. It’s basically an insurance policy for insurers.

The association is facing a lawsuit that says it should provide more information about how it comes up with an annual fee that ultimately gets passed on to drivers. Plaintiffs in the case say it’s not clear how the MCCA sets the annual fee. It was $175 dollars per vehicle last year. Their suing because they say that information is important as lawmakers consider changes to the state’s auto insurance law.

A court has ruled that the public has a right to request information about the rates. But the MCCA is appealing that decision.

“Literally 90 percent of what was required to be disclosed under the judge’s recent ruling is already out there for public consumption,” says Pete Kuhnmuench, who represents auto insurers with the Insurance Institute of Michigan. He supports the appeal.

“We believe to just further politicize this whole structure does nothing to benefit the consumers who rely on that fund for their benefits to be paid,” he says.

LANSING, MI Democratic Sen. Glenn Anderson is reintroducing bills that would open the Michigan Catastrophic Claims Associations records and meetings to the public.

The legislation comes amid a legal battle over access to information on the catastrophic claim fund, overseen by a private, nonprofit association created by the legislature in 1978 to reimburse auto insurers for personal injury protection benefits after they exceed $500,000 per claim.

Policy holders pay an additional $175 per insured vehicle per year to cover these costs. A rate increase of $30 went into effect on July 1, 2012 to pay for increasing expenses.

The MCCA recently appealed a circuit court ruling that says its subject to the Freedom of Information Act and must disclose general rate calculation information.

Anderson, of Westland, said he hopes the lawsuit is settled in favor of the Coalition Protecting Auto No-Fault (CPAN) and the Brain Injury Association of Michigan (BIAMI), two groups that oppose proposed reforms to Michigans no-fault auto insurance system and want more information on how MCCA sets its rates.

The MCCA says that much of the information requested is already online, and that some of it should be exempt because it contains personal information on claimants.

Anderson said hes not interested in individual claim information, but wants to make sure other financial and other data is disclosed, rather than relying on what MCCA decides to release.

His legislation also would make the MCCA meetings subject to the Open Meetings Act and reconstitute the board.

Representatives from auto insurance companies comprise the board of directors, along with the Michigan insurance commissioner, who has a non-voting position. Andersons legislation would add an insurance agent to the board and give the insurance commissioner a voting seat.

Its closed door meetings and we all have to suffer with their decisions whether theyre justified or not, and no ones able to say whether theyre justified or not, Anderson said of the rate adjustments.

Anderson couldnt get a committee hearing on the bills last session, but hopes theyll have a better chance this time around, especially given the lawsuit and issues it brings to light.

The legislation will be Senate Bills 102 and 103. They werent available on the Legislatures website on Friday morning.

Rep. Pete Lund said that while he supports pushing for more transparency and requiring more information to be disclosed, he doesnt support making MCCA subject to FOIA or the open meetings law since its not a government entity and the liabilities fall on insurance companies.

Theres a lot more information available online than people realize, said Lund, R-Shelby Township. Its not always the simplest to find, but it is there.

Lund is chair of the House Insurance Committee and plans to introduce a new no-fault reform proposal. He said hed like to first pass Blue Cross Blue Shield legislation before taking up no-fault.

Email Melissa Anders at manders@mlive.com. Follow her on Twitter: @MelissaDAnders. Download the MLive app for iPhone and Android.

Here in San Diego, auto insurance is a critical asset when it comes to protecting your self and your vehicle — but it is no substitute for life insurance coverage. Photo Credit: Blade Kostas, Photos.com